Profitable Online Penny Stock Trading Is Possible

Profitable investors in the Penny Stock market make money because they know where to look

. Both foreign and domestic Penny Stocks can offer high returns, as high as 300%, for the savvy investor. Even if youre new to trading and start out with a small investment, 300% can give you enough of a profit to reinvest in other hot Penny Stocks. This type of trading is very appealing to investors both big and small, because they offer you the opportunity to buy attractive looking stocks for pennies on the dollar. And Penny Stocks can give you the kind of high returns that more expensive Blue Chip stocks seldom, if ever, can.

So where are these high return stocks, you may ask. New, smaller type companies are the first place you want to look. Do a little research into a company first before you start investing though. A blind trade will likely get you nowhere. Is the company in a recession proof field, like medicine, or food? If it is, thats a good place to start. Does the company have a lot of competition? If so, how are they doing? Do you think this company might be the next big thing? One thing is for sure. It wont be if nobody takes a chance on it and starts trading their stock. After some time as a trader, you will start to be able to discern between a good, solid Penny Trade alert, and one that will get you nowhere.

So patience here, really is a virtue. If anyone told you that you will start making money straight out of the gate, they were misleading you. Because not only will you want to start slow, but because of that fact, it will take you some time to build up your portfolio to where you are trading a lot of Penny Stocks at once. Quantity is the key here. The nature of Penny Stocks is minimal investments yielding minimal returns. A 300% return may seem like a big profit at first, but when you realize that it was on a $1 investment, and then you will start to see why quantity is king.

To be a bit more precise about all this, small companies like Unica corp. [UNCA] and Urologix [ULGX ] would be an excellent place to begin your trading career. The web software and medical fields are what these companies represent, and they have a history of good returns on their investments. These companies also are offshoots of larger corporations that went into business for themselves, and are starting to make their own name. They have experience in their respective fields, and good stock reporters will send out Penny stock alerts to investors to keep an eye out for them.

The Penny Stock market is an explosive one to get involved with, and any seasoned investor worth his salt will be able to tell you that. He also knows that receiving Penny Stock alerts at the opportune time is paramount to a sound investment and subsequent good return.

This is where the OTC Tip Reporter comes in at. It is the hottest Newsletter out there for Penny Stock Picks. The Stock Market can be a very confusing place to work and trade sometimes, even for the seasoned investor. And some of these investors are reaping the benefits of some very healthy returns with the help of newsletters like OTC Tip Reporter. Returns of 300% are not uncommon. Even in this economy. So how do these investors do it? With the right information at their fingertips, its easy. Recognizing and analyzing daily market activity is very important!

by: Jeremy Miller

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